Question

Currently in? Economica, the frictional rate of unemployment is 1.0?%, the structural rate of unemployment is 2.0?%, and the cyclical rate of unemployment is 3.0?%. In the? winter, there is seasonal unemployment of? 1%. In this? country, the seasonally adjusted natural rate of unemployment would be considered to be ___%

Answer 1

Answer:

3.0%

Explanation:

Data given in the question

Frictional rate of unemployment = 1.0%

Structural rate of unemployment = 2.0%

Cyclical rate of unemployment = 3.0%

Seasonal unemployment = 1%

So, by considering the above information the natural rate of unemployment is

As we know that

Natural rate of unemployment = Frictional unemployment + structural unemployment

= 1% + 2%

= 3.0%